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Q1 26 EPS
$2.45
BEAT +5.60%
Est. $2.32
Q1 26 Revenue
$9.14B
MISS 1.48%
Est. $9.28B
vs S&P Since Q1 26
-5.0%
TRAILING MARKET
HON -0.9% vs S&P +4.1%
Market Reaction
Did HON Beat Earnings? Q1 2026 Results
Honeywell International posted a mixed but ultimately encouraging first quarter for fiscal 2026, beating Wall Street's earnings target for the fourth consecutive quarter while coming in just short on revenue. Adjusted EPS of $2.45 topped the $2.32 co… Read more Honeywell International posted a mixed but ultimately encouraging first quarter for fiscal 2026, beating Wall Street's earnings target for the fourth consecutive quarter while coming in just short on revenue. Adjusted EPS of $2.45 topped the $2.32 consensus estimate by 5.61%, and while revenue of $9.14 billion missed the $9.28 billion consensus by 1.48% and fell 6.9% year over year, the shortfall was largely explained by deliberate portfolio surgery, with planned divestitures of the Productivity Solutions and Services and Warehouse and Workflow Solutions businesses reshaping the company's revenue base ahead of the June 29 Honeywell Aerospace spin-off. Segment margin expanded 90 basis points to 23.3% as pricing actions and stranded cost removal took hold, and orders grew 7% organically, lifting backlog to $38.30 billion. Some analysts had flagged concerns about divestiture valuations in the weeks before the print, but the underlying operational momentum offered reassurance. Honeywell reaffirmed full-year sales guidance of $38.80 billion to $39.80 billion and adjusted EPS of $10.35 to $10.65, signaling confidence in the path ahead.
Key Takeaways
- • Orders grew 7% organically across all segments, pushing backlog to ~$38.3 billion
- • Pricing actions and new product introductions drove 2% organic sales growth
- • Segment margin expanded 90 basis points to 23.3% driven by commercial excellence, productivity, and accelerated stranded cost removal
- • Building Automation delivered 8% organic growth with 9% order growth fueled by data center and hospitality verticals
- • Aerospace Technologies maintained 1.1x book-to-bill with 6% order growth
- • Adjusted EPS grew 11% driven by segment profit growth and lower weighted-average share count
HON Forward Guidance & Outlook
Honeywell reaffirmed its full-year 2026 outlook despite Middle East conflict uncertainty. Full-year sales are expected at $38.8 billion to $39.8 billion with organic sales growth of 3% to 6%. Segment margin is guided at 22.7% to 23.1%, with 20 to 60 basis points of expansion year over year. Adjusted EPS is expected at $10.35 to $10.65, representing 6% to 9% growth. Operating cash flow guidance was updated to $4.4 billion to $4.7 billion (from $4.7 billion to $5.0 billion previously), while free cash flow expectations are unchanged at $5.3 billion to $5.6 billion with 4% to 10% growth. The Honeywell Aerospace spin-off is now targeted for June 29, 2026.
HON YoY Financials
Q1 2026 vs Q1 2025, source: SEC Filings
HON Revenue by Segment
With YoY comparisons, source: SEC Filings
“Honeywell delivered a strong start to the year while navigating a challenging geopolitical environment. Orders were up 7% with growth in all segments, pushing backlog to over $38 billion, led by buildings and industrial automation. Through our relentless focus on productivity and execution, we generated 90 basis points of segment margin expansion. This profitable growth, coupled with an acceleration in stranded costs takeout, drove 11% adjusted earnings growth, overcoming the impacts of rising inflation and the disruption in the Middle East. This is a testament to the resiliency of the Honeywell portfolio.”
— Vimal Kapur, Q1 2026 Earnings Press Release
HON Earnings Trends
HON vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
HON EPS Trend
Earnings per share: estimate vs actual
HON Revenue Trend
Quarterly revenue: estimate vs actual
HON Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 BEAT | $2.32 | $2.45 | +5.60% | $9.14B | -1.48% |
| Q4 25 BEAT FY | $2.18 | $2.59 | +18.81% | $9.76B | +38.99% |
| FY Full Year | $9.72 | $9.78 | +0.66% | $37.44B | -0.43% |
| Q3 25 BEAT | $2.57 | $2.82 | +9.73% | $10.41B | +2.46% |
| Q2 25 BEAT | $2.66 | $2.75 | +3.38% | $10.35B | +2.87% |
| Q1 25 BEAT | $2.21 | $2.51 | +13.57% | $9.82B | +2.32% |